Move over meme stocks Americans have found a new investment strategy. A new study from the Federal Reserve Bank of New York found that an overwhelming number of respondents preferred owning their primary residence rather than investing in the stock market. (FRBNY)
- 90% of respondents preferred owning their primary residence rather than investing in the stock market
- Preference for housing dipped in October 2020 and returned back to the pre-COVID level by February 2021
The authors of the piece, Andrew Haughwout, Haoyang Liu, Dean Parker, and Xiaohan Zhang, noted that there “are important variations in preferences for housing, with women and non-college graduates being more likely to recommend housing. Relative to before the COVID-19 outbreak, more households now cite higher returns and lower volatility as reasons to buy a primary residence.”